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Bitclave Illegal ICO to Return $25M to Investors, SEC Announces

News
Fri, 05/29/2020 - 10:52
Vladislav Sopov
The Securities and Exchange Commission has stopped another beneficiary of the 2017 bubble. Instead of ‘leveraging the personal data’, Bitclave will pay back all investors
Bitclave Illegal ICO to Return $25M to Investors, SEC Announces
Cover image via stock.adobe.com
Contents

Yesterday the United States Securities and Exchange Commission released an official statement about the unfortunate fate of BitClave, the U.S.-based ICO project with Slavic roots.

Meaningful relief to investors

According to the SEC order, the BitClave project, incorporated as BitClave PTE Ltd., conducted an unregistered initial coin offering that started in June 2017.

The project managed to raise cca. $25.5M from 9,500 investors. They received Consumer Activity Tokens or CAT, Ethereum-based coins. The regulator highlights that CAT had all of the characteristics of a security.

E.g. the team of BitClave actively promoted its listing on third-party exchanges and emphasized the opportunity of its price to grow in the future.

Despite this fact, all coding and marketing activities of the product are frozen and its team is showing no interest in maintenance or further development of the platform.

Severe penalty

The team of Bitclave reached an agreement with the SEC to refund all $25M to investors through a dedicated Fair Fund.

Also, they are being charged a prejudgment interest of $3.5M, and a penalty of $400,000. CAT must be removed from all trading platforms and permanently disabled by Fair Fund managers.

It should be reminded that BitClave raised funds for the development of a decentralized search engine and personal data processing system.

Recently, the SEC reached an agreement with another ICO from 2017, Enigma. This team must refund $45M to ENG token holders and pay a $0.5M civil penalty. Furthermore, the project is obliged to register ENG as a security and to send periodic reports to the SEC.

About the author

Blockchain Analyst & Writer with scientific background. 5+ years in IT-analytics, 2+ years in blockchain.

Worked in independent analysis (Crypto Briefing) as well as in start-ups (Swap.online, Monoreto, Attic Lab etc.)

Ethereum (ETH) Market Cap May Become Equal to Bitcoin's (BTC): ConsenSys Director

News
Mon, 07/13/2020 - 14:38
Vladislav Sopov
John Lilic, managing director at ConsenSys decentralized development studio, has shared an over-bullish prediction for Ethereum (ETH) progress
Ethereum (ETH) Market Cap May Become Equal to Bitcoin's (BTC): ConsenSys Director
Cover image via stock.adobe.com
Contents

John Lilic leads international business development in the ConsenSys leading blockchain development studio. He is also an expert in energy markets and cryptocurrency segments. He tracked the progress of Bitcoin's (BTC) and Ethereum's (ETH) market capitalization statistics, coming up with an extravagant prediction.

Bitcoin (BTC) should get ready for parity

Mr. Lilic outlined that Ethereum (ETH) is showcasing much healthier dynamics than its competitor is. For instance, the flagship cryptocurrency still surpasses Ethereum (ETH) by 6.3x in terms of market capitalization, while simultaneously collecting 20% fewer fees than Ethereum (ETH).

John Lilic of ConSensys foresees parity of Bitcoin (BTC) and Ethereum (ETH) market capitalizations
Image via Twitter

Also, Ethereum (ETH) is demonstrating much more impressive price dynamics this year. It gained almost 37% against Bitcoin (BTC) in 2020. That said, Ethereum (ETH) looks severely undervalued to the top manager of ConsenSys.

However, Ether is on the path to eliminating this discrepancy. Eventually, the top two cryptocurrencies may reach market capitalization parity, concludes Mr. Lilic.

Related Bitcoin (BTC) and Ethereum Have (ETH) Recovered From Black Thursday, Who Else? Coinmetrics Explains
Related
Bitcoin (BTC) and Ethereum Have (ETH) Recovered From Black Thursday, Who Else? Coinmetrics Explains

As covered by U.Today Crypto News recently, Coinmetrics on-chain research team called Bitcoin (BTC) and Ethereum (ETH) the unique crypto behemoths that have managed to recover from Black Thursday.

Bitcoin (BTC) is losing supremacy in "fee race"

Should Ethereum (ETH) overcome its undervaluation, its price may be over $1,550 based on liquid supply and current Bitcoin (BTC) market capitalization.

Recently, it was unveiled that Ethereum (ETH) blockchain continues to surpass Bitcoin (BTC) in terms of network fees for more than 30 days in a row. Ethereum (ETH) is seeing this advantage for the first time in its history.

As U.Today Crypto News reported previously, ex-Messari analyst and angel investor Qiao Wang identifies two main catalysts of Ethereum's (ETH) price run in the mid-term perspective.

Related Ethereum (ETH) Price Two Bullish Signals, According to Investor Qiao Wang
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Ethereum (ETH) Price Two Bullish Signals, According to Investor Qiao Wang

According to Wang, the upcoming rally may be fueled by a long-awaited transition to Proof of Stake and fixing the monetary policy of Ether token.

About the author

Blockchain Analyst & Writer with scientific background. 5+ years in IT-analytics, 2+ years in blockchain.

Worked in independent analysis (Crypto Briefing) as well as in start-ups (Swap.online, Monoreto, Attic Lab etc.)